Lending money to family and friends – when it comes to loans, most refer to loans to banks, credit unions, mortgages and financial aid, but hardly do people consider getting a credit agreement for their friends and family, because that`s exactly what they are – friends and family. Why do I need a credit agreement for the people I trust the most? A credit agreement isn`t a sign that you`re not trusting someone, it`s just a document you should always have in writing when lending money, just like having your driver`s license with you when you`re driving a car. The people who make it difficult for you to want to write a loan are the same people you should worry about the most – you always have a credit agreement when you lend money. Simply put, consolidating is taking out considerable credit to repay many other loans by having to make only one payment per month. This is a good idea if you can find a low interest rate and want simplicity in your life. In the event that the borrower is late in the loan, the borrower is responsible for all costs, including any attorney`s fees. Under no circumstances is the borrower always responsible for the payment of the principal and interest in case of delay. It is enough to enter the State in which the loan was contracted. For example, the annual AFR rates or minimum eligible rates needed for a family loan for a period of three months in 2016: the agreement should provide that the contract will be terminated once the loan has been repaid in full. In addition to a mortgage and trust deed, there are other types of frequently used documents. Each offers different levels of protection during a real estate transaction….